ETHZilla has made a significant acquisition, securing two aircraft engines for $12 million as part of their strategy to focus on tokenizing real-world assets.

The transaction was made through a new subsidiary, ETHZilla Aerospace LLC, and was announced in a regulatory filing. The engines are designated for large commercial planes and come with existing lease agreements, allowing ETHZilla to immediately start generating income.

Following a change in direction articulated by McAndrew Rudisill, the CEO of ETHZilla, in December, the company aims to integrate real-world assets onto the blockchain through tokenization. He noted,

“Today we are launching our updated website to better reflect our mission - modernizing capital markets through real-world asset tokenization.”

Rudisill mentioned that the initial focus will be on aerospace assets, leveraging the relationships that the leadership team has within the industry to create an asset pipeline without needing extra partnerships.

Challenges in the Market

However, ETHZilla’s stock has significantly fluctuated; it peaked at over $100 per share in August but has drastically fallen by 95%, closing at $5.24 recently. Ethereum prices have similarly declined, dropping roughly 40% from a peak of nearly $5,000.

ETHZilla currently holds 69,802 ETH, which, according to CoinGecko, is valued at around $198.5 million.